WebIndustry Beta Approach Overview. Beta (β) is a metric that represents the sensitivity of a security or portfolio to systematic risk, i.e. the relative volatility compared to the broader … WebIf you discount a project's unlevered aftertax cash flows by the _____ and then subtract the initial investment you will calculate the: A. cost of capital for the unlevered firm; adjusted present value. B. cost of equity capital; project NPV. C. weighted cost of capital; project NPV. D. cost of capital for the unlevered firm; all-equity net present value.
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WebDiscount Rate Formula. The discount rate formula is as follows. Discount Rate = (Future Value ÷ Present Value) ^ (1 ÷ n) – 1. For instance, suppose your investment portfolio has grown from $10,000 to $16,000 across a four-year holding period. Future Value (FV) = $16,000. Present Value (PV) = $10,000. WebNov 23, 2024 · Alpha and Beta are the two most important metrics for ascertaining the risk in a mutual fund. Both the ratios consider the mutual fund return, benchmark return and risk-free return. A risk-free return is a return you can expect from an investment without taking any risk. Alpha measures the risk-adjusted returns of a mutual fund. maricopa county industrial development
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WebJul 6, 2015 · SEC Form N-6F: A filing with the Securities and Exchange Commission (SEC) that must be submitted by a company intending to file a notification of election to be subject to sections 55 through 65 ... WebJul 23, 2024 · The adjusted beta is an estimate of a security’s future beta. It uses the historical data of the stock, but assumes that a security’s beta moves toward the market average over time. It weights the historic raw beta and the market beta. The formula is as follows: Adjusted beta = (.67) * Raw beta + (.33) * 1.0.Dec 9, 2024. WebMar 11, 2024 · The formula is as follows: Portfolio Return [Risk-Free Rate + Portfolio Beta x (Market Return Risk-Free Rate)] Continuing with our example (which assumes a risk-free rate of 2.5 percent), let’s add a benchmark index variable of 10.5 percent: Jensen’s alpha is 1.3 because mutual fund A has a beta coefficient of 0.65. maricopa county human resources policies